Bid COE yourself - I tried it!

[Imac]

Those who are thinking of trying

 

Make sure you are able to pay full cash for the new car to avoid any further complications in the buying process and put yourself at the mercy of car dealers

 

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If COE is within the $10k range, I believe a lot of buyers have the financial means to pay full.

[Sturtles]

Have to look at the COE bidding process: http://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/vehicle-quota-system/certificate-of-entitlement-coe.html

 

In some way, the number of bids may contribute to raising the COE price. For example, if there are 100 COE quota, but there are 101 bids. If 100 people bid $1 but 1 person bid $2, the final price will be $2 and only 1 person will get it. But if 100 people bid $50000, then the last guy will have to bid $50001 in order to get the COE.

 

I hope I understood the bidding process correctly. However, this scenario is almost impossible to happen.

Your understanding is incorrect.

 

COE price based on the lowest bid among the qualified bids.

 

In your example, only 1 person gets the COE at $1(He bidded $2). The remaining 99 COEs will be reallocated to the next bid

[Count-Bracula]

Had wanted to try but no account with DBS. Seems only can bid thru their ATMs and not others.

[Kangadrool]

Last time, Citibank can use online to bid. Now, no more liao. Think no demand.

[Wormee]

Your understanding is incorrect.

 

COE price based on the lowest bid among the qualified bids.

 

In your example, only 1 person gets the COE at $1(He bidded $2). The remaining 99 COEs will be reallocated to the next bid

 

The CCP (Current COE Price) will be the highest unsuccessful bidding price + $1. So the COE will be at $2 and not $1. The one successful bidder will get his coe as his reserve price is equal or higher than the CCP.

[yo2020]

Interesting, will try to do this but most likely can only get PI cars

 

KM n BM also can.  if self-bid COE, KM's price will b the listed price minus the COE rebate lvl. ;)

 

 

Edited January 19, 2016 by yo2020

[yo2020]

does it mean that every bids received would generate into the number of bids and it eventually

driving up the COE final price if one was doing it just for fun? or just trying to win a $1 COE?

 

correct me if i am wrong.

 

it wouldnt matter if ppl r jz bidding at $1 or $45 jz for fun.

it will only matter if ppl r bidding at $45k jz for fun.

Edited January 19, 2016 by yo2020

[Wyfitms]

what i cannot understand is why got admin charge

 

cost so much to maintain the system??

 

not enough to makan 50K, still want to squeeze another $2??

 

really money no enough in Singapore 

[minion]

AD always claim they 'subsidise' ur COE. Package price w COE 100k. Non-Pkg price 80k. Simply profiteering.

 

Onli way out of this is to ban ADs from bidding n packaging COEs. Don't see why it's that difficult for LTA to implement. I mean, when someone buys BTO direct from hdb, can one appoint property agent buy on their behalf at the price quoted by the agent?

 

Like only allow self bidding or open services in SingPost for those who are not sure how to bid. With the current system (50% down payment + AD control bidding), the consumer is screwed in whatever way the consumer chooses.

 

But... then it is a very good income generator for the garment. Billions! For FY2015, the income contributions from those small amount of individuals who purchased a car is a lot more than the total income tax contributed by the 6 million work force. There are lots of funding for whatever the germent want to spend. "ang bao" to help election, road widening, helping the needed, more HDB.

 

High COE may be not a bad thing for Singapore. But I don't want dealers take advantage of consumers and impose extra burden on consumers. If COE is high let it be, let consumers bid COE!

[Atrecord]

Why would the number of bids drive up COE price?

 

This one i try explain simple way:

 

There are 5 COEs available for bidding. There are 6 bidders who bid different amounts, as follows (in ascending order):

 

1. $10,000
2. $20,000
3. $30,000
4. $40,000
5. $50,000
6. $60,000

With this scenario, only bid #1 will not get the COE, and #2-6 all pays $20,000.

 

If got another 2 more bids put in around the half way mark, making it

1. $10,000
2. $20,000
3. $29,000
4. $30,000
5. $31,000
6. $40,000
7. $50,000
8. $60,000

then the 5 who gets the COE will be #4-8, and all pays $30,000.

 

The result is that, if the 2 additional bids were not made, final price is $20k, but it went up to $30k after the 2 bids were made.

 

If however, the 2 bids were $5 each, then there is still no impact.

[BenTong]

Then why the

[Kangadrool]

$2 is charged by banks.

 

Cheap lah... Don't make too much noise. Else, banks may start to charge based on % 

what i cannot understand is why got admin charge

 

cost so much to maintain the system??

 

not enough to makan 50K, still want to squeeze another $2??

 

really money no enough in Singapore 

 

[Wyfitms]

$2 is charged by banks.

 

Cheap lah... Don't make too much noise. Else, banks may start to charge based on % 

 

 

ohh, pai seh ahahah

[Spring]

For me would find out which ADs/PIs would sell me car at what price w/o COE first before I do self-bidding.

 

Good advice bro, best to check which new car agent willing to sell you the car without COE at a fair price before you bid for COE else you may be held hostage by these AD/PI or left with choices on cars you don't fancy.

[yo2020]

This one i try explain simple way:

 

There are 5 COEs available for bidding. There are 6 bidders who bid different amounts, as follows (in ascending order):

 

• $10,000
• $20,000
• $30,000
• $40,000
• $50,000
• $60,000

With this scenario, only bid #1 will not get the COE, and #2-6 all pays $20,000.

 

If got another 2 more bids put in around the half way mark, making it

• $10,000
• $20,000
• $29,000
• $30,000
• $31,000
• $40,000
• $50,000
• $60,000

then the 5 who gets the COE will be #4-8, and all pays $30,000.

 

The result is that, if the 2 additional bids were not made, final price is $20k, but it went up to $30k after the 2 bids were made.

 

If however, the 2 bids were $5 each, then there is still no impact.

1st eg, COE price shld b $10,001.

2nd eg, COE price shld b $29,001. ;)

[Baal]

Based on 62K coe pricing last year ~feb/mar,  iirc,  KM's price list for the Jazz 1.5 w/o COE was 48K.

[Fruit-tart]

Ya...hahaha.. 2 bucks admin charge ok lahh.. i always take it as buying toto, or forgo/giving up my one plate of chicken rice.. nt too bad... at least self bid, ownself give ownself chance...if dealers help bid, they confirm what bid to their advantage lahh.. its like if let dealers bid, when actual coe is higher, they ask u topup..whem actual coe is lower, they give u rebate but not 1:1 ratio as what actual coe is(meaning coe drop 10k, from 45k to 35k, but their rebate level only at 37k, meaning consumers lose 2k also)..either way consumers lose out..somemore they got what 1 bid guaranteed, or 6 bids guaranteed, non guranteed packages...zzz...thats why better to self bid..yupp..

[Spring]

This one i try explain simple way:

 

There are 5 COEs available for bidding. There are 6 bidders who bid different amounts, as follows (in ascending order):

 

1. $10,000
2. $20,000
3. $30,000
4. $40,000
5. $50,000
6. $60,000

With this scenario, only bid #1 will not get the COE, and #2-6 all pays $20,000.

 

If got another 2 more bids put in around the half way mark, making it

1. $10,000
2. $20,000
3. $29,000
4. $30,000
5. $31,000
6. $40,000
7. $50,000
8. $60,000

then the 5 who gets the COE will be #4-8, and all pays $30,000.

 

The result is that, if the 2 additional bids were not made, final price is $20k, but it went up to $30k after the 2 bids were made.

 

If however, the 2 bids were $5 each, then there is still no impact.

 

Thanks for the illustration. Just to add on, this is an open auction which means bidders will try to outbid each other for the COE. The last minute or late bidders will put in a higher bid in order to be successful so it's not surprising to see COE shoot up in the last minutes of the bid and really depends on how desperate they are. 

 

So for those who say conspiracy, phantom bidders etc are really living in a dream world and so are those asking the buyers to co-operate and bid low so that LTA can be screwed. In the real and competitive world we live in, it's each man for his own unfortunately and that drives bids not only for COE but any bidding for that matter.